Cash for clunkers!

[Carguy]

Sorry thought you had Toyota Lexus.Question the lease is up on my wifes Escalade in March are they dealing on the payoffs to buy or should I just get her something else.Leasing is gone so will probably buy next one either another Escalade or Denali.

No deals. Chances are in this market depending on your mileage and condition your vehicle will bring your residual or more at the auction. Their is a chance to get lucky but last I checked GMAC will not work with you on the buy out. C_nt hair chance I may be able to get it a little cheaper for you. Pm me if you want me to check.

I actually moved 6 into pending payment today. I think its starting to loosen up I hope. I would like to pay my managers and myself on a real gross profit on the 15th.

 

[X-Rated30]

I got two GM stores that if we had more product to sell we could have done better with th program. Damn shame.

How is your gross? The dealerships I represent saw theirs go down which is the opposite of what I thought would happen. If the government gives 4500 and Chrysler matches it with 4500 and the pool of cars the clunker crowd can afford is limited and the program is for a very short time, I would have thought it would be a sellers market. Not so?

 

[Blue Oval]

Starting to get paid, the clunker row is going to disappear! Trashed the engine on the great looking 98 Explorer today.:ack2:

 

[Expensive Date]

Starting to get paid, the clunker row is going to disappear! Trashed the engine on the great looking 98 Explorer today.:ack2:

Glad tro hear you are getting paid.

 

[getchasum111]

Glad tro hear you are getting paid.

We just got back from Vegas at a Toyota meeting. They raised the residuals on all toyotas 3%. They will be back in the leasing business soon. We also got paid on all but 3 of 86 clunker deals....just need docs on the last 3.

 

[Audiofn]

I wonder if they will make the people that got the cash for clunkers report the 4500 as income?

 

[Shah Mat]

I wonder if they will make the people that got the cash for clunkers report the 4500 as income?

No

http://ptmoney.com/2009/08/28/cash-for-clunkers-tax-rules/

Federal Income Tax
If you’re talking about federal income taxes, then the answer is no. As a consumer, you won’t owe taxes to the Federal government for the credit you received as a result of the Cash for Clunkers trade-in. The official program website, Cars.gov is very specific about this. See this excerpt from their FAQs:

“Is the credit subject to being taxed as income to the consumers that participate in the program? NO. The CARS Act expressly provides that the credit is not income for the consumer.”

 

[Ratickle]

No

http://ptmoney.com/2009/08/28/cash-for-clunkers-tax-rules/

Federal Income Tax
If you’re talking about federal income taxes, then the answer is no. As a consumer, you won’t owe taxes to the Federal government for the credit you received as a result of the Cash for Clunkers trade-in. The official program website, Cars.gov is very specific about this. See this excerpt from their FAQs:

“Is the credit subject to being taxed as income to the consumers that participate in the program? NO. The CARS Act expressly provides that the credit is not income for the consumer.”

Some states had sales tax on it and some didn't. As for the states with income tax, seems to be no consenses yet.

 

[Audiofn]

So that covers the federal tax but the state could hose you? Boy that is going to catch a lot of people off guard I bet!

 

[VtSteve]

So that covers the federal tax but the state could hose you? Boy that is going to catch a lot of people off guard I bet!

Regardless of the political issues and misstatements that have been thrown against the Internet wall, sales taxes remain a state's domain, not the Feds. The irony is that in many states, not paying sales tax on a trade-in was an extra benny to car dealers. Private party sales do not enjoy such a benny.

Another irony is that many dealers were creatively selling cars that ended up being higher cost than they would have been before the Clunkers Cash program. Kudos to them for doing what they do well. So for those that sold a new car for MSRP (or close to it), less the $4,500 credit for the customer, good for you. Many customers probably had no idea that their $4,000 clunker was just bought for $4,500 through the credit program, and the dealer in some case got full price.

The state sales tax or state income tax issue should be listed state by state, not bandied about in articles masquerading as a tax increase. Not to mention, at least the sales tax is still deductible through the end of this year.

 

[Ratickle]

How far will the economic stimulus from the program spread?
The economic impact of the program is significant but short-lived. If we assume an average selling price of $25,000 for the program, and total unit sales of 700,000, the cash-for-clunkers program generated at least $17.5 billion of economic activity, not including incremental sales of additional products, such as extended warranties, alarm systems and financing revenue for the dealerships — as well as roughly $875 million in sales-tax revenue for state governments. When we add in the fiscal multiplier effect, the net impact of the program was easily north of $25 billion — if not much higher. However, the impact also has a short life expectancy. Once the program is over, the impact is pretty much over as well.

http://www.time.com/time/business/article/0,8599,1918692,00.html

 

[Edward R. Cozzi]

The most positive result of the Cash for Clunkers program is it has taken 90% of the Obama bumper stickers off the road!

 

[Blue Oval]

Paid for four more today! Maybe time for a celibration! Then blow some more cars up! Then party again!

 

[VtSteve]

It was great for dealers, the manufacturers, and some states. It wasn't that great for most consumers, but what they don't know won't hurt them. There's fewer bad things to say about the program now that the money's flowing and the lots are empty. Time to move on and hammer away at the next bad thing.

 

[Big Time]

Just checking back because I am curios...have all the dealers been paid on all of their tade in's?

 

[MarylandMark]

Anyone have a "Ford" blue oval for a 2006 F350 diesel on the lot? Mine is funny looking- like bubbled or clear stuff has water under it or some thing.

 

[Blue Oval]

I have been paid, sold some cars, don't think I would want to do it again.

 

[Carguy]

Paid in full.

 

[getchasum111]

just checking back because i am curios...have all the dealers been paid on all of their tade in's?

i have one left....but the customer pulled a scam so he is making up the dif.

 

[Carguy]

Let me change my response to PAID IN FULL for all the ones we did right.